Little Deerborn Auction

1

1937pickup

Well-known member
Spent some time viewing the on line auction for this company. I was shocked to see an 18% buyers premium. This seems high to me, I thought 10% was the "normal/standard" premium.
 
Auction companies have free reign to ask whatever they want . One way to cure the problem is for nobody to show up, but that will not happen.
 
The 18% was for online bidders. They used proxibid as the hosting site. Proxibid charges them a fair amount but likely no where near that amount. Also in this particular auction, the parts won by online bidders were moved to a secure storage location. That required man hours and more $$
 
That is one hefty 'online premium' - and I'm sure there were some newbies that didn't know it was being applied. I've seen auctions with all sorts of different premiums - some with none at all (which is the way guys like us prefer it). I think they'd get a lot more online buyers if the premiums were more reasonable - but Hey, I'm not in the auction holding business! LOL
 
Bored&Stroked said:
That is one hefty 'online premium' - and I'm sure there were some newbies that didn't know it was being applied. I've seen auctions with all sorts of different premiums - some with none at all (which is the way guys like us prefer it). I think they'd get a lot more online buyers if the premiums were more reasonable - but Hey, I'm not in the auction holding business! LOL
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I agree and like you prefer no buyers premium.
However, from a sellers perspective, it costs money to do business and as a frequent seller on eBay, I can tell you first hand, a typical transaction when utilizing Paypal costs me about 15 - 20%. I chalk that up to the cost of doing business and hope my sales realize enough to make the actual sale lucrative.

As far as the newbies you mention not knowing that 18% was applied... perhaps the newbies should learn how to read. The terms were easy to access and easy to understand.
 
Kube said:
I agree and like you prefer no buyers premium.
However, from a sellers perspective, it costs money to do business and as a frequent seller on eBay, I can tell you first hand, a typical transaction when utilizing Paypal costs me about 15 - 20%. I chalk that up to the cost of doing business and hope my sales realize enough to make the actual sale lucrative.

As far as the newbies you mention not knowing that 18% was applied... perhaps the newbies should learn how to read. The terms were easy to access and easy to understand.
Click to expand...



Silly Kube, didn't you feel the "bern"? No body is responsible for themselves anymore!
 
If it were Sotheby's or one of the other big international auction houses it would have been no less than 20%.
 
18% if you get something for $1 is only 18 cents. I have bids on several valuable items and all are under $1. Nobody is bidding and I think few know about this auction, so in my opinion 18% of almost nothing is still almost nothing.
 
The 18% is if you pay with a credit card. If you pay cash or check they discount 3% so that brings it down to 15%. You just have to remember that when you bid and only bid up to the point where your bid plus the premium adds up to the max you want to pay. Don't get carried away, another one will come along and it may be the SAME item because it didn't sell the first time. And don't believe they won't bid up the stuff themselves. It happens at both live auctions and online auctions.

I have had some good deals with the online auctions but I learned to never buy ANYTHING that has a gas engine on it because the motor has always been worn out. That is why it was put on the auction. Individual parts can be a really good deal. Although you can pre-inspect stuff the auction usually is far away so that isn't practical. Even though you are buying online usually because it IS so far away.
 
Regarding the amount of the buyer's premium, how long do you think it took to photograph and catalog all that stuff and were the people who did it paid employees of the auctioneer or unpaid volunteers?
 
For the convenience of being able to sit in my home 850 miles away I was glad to pay 18% on the items I won. From my perspective I don't see how a auction company can do the amount of work involved with the amount of personnel needed for a mere 15%. I think they charge the seller a percentage or flat auction fee on top of a buyers premium ( if they operate like others)
 
I always figured that the seller that consigned the article being sold paid the fees charged by the auction company ( paper work, ads ect). now buyers pay fees to buy. I am usually able to find what I want other than auction, so I don't go to them.
 
I also thought that seller and buyer paid the auction company. I had heard seller paid 8% and buyer 10%, or something along those lines. One other thing, Minnesota charges a sales tax of 7.5%. When all in you are looking at 25%.
 
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